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Current Merger News
May 7, 2008
Machinists Call for Airline Re-Regulation
The International Association
of Machinists and Aerospace Workers (IAM) today urged lawmakers to resist
appeals to approve additional airline consolidation, calling instead for
measured re-regulation of fares and capacity as the only way to ensure safe
and reliable air transportation in the United States.
“Limited re-regulation is the
only long-term solution for an industry that is continually seeking government
assistance,” said IAM General Vice President Robert Roach, Jr., at a Senate
Commerce Committee hearing on the state of the airline industry. “This
industry is simply unable to turn away from pricing its product below the cost
of providing it, further perpetuating the chaotic spiral that brings us here
today.” The IAM’s complete testimony is available at
www.goiam.org/mergers.
“Airlines today compete by
cutting standards, eliminating services and reducing ticket prices to the
bone, which makes a profitable industry impossible,” said Roach. “The
Government Accountability Office estimates that median ticket prices have
dropped nearly 40 percent since 1980, while the costs of aircraft, airport
leases and fuel have increased dramatically.”
“When an industry essential to the national economy can no longer function, it
is the responsibility of elected representatives to step in and provide the
necessary guidance and stability,” said Roach.
May 1, 2008
Machinists to Testify Against Airline Mergers
The U.S. House Committee on Transportation and Infrastructure's Subcommittee
on Aviation has announced a hearing on airline industry consolidation and the
proposed Northwest-Delta Air Lines merger. Subcommittee Chairman Jerry
Costello has invited IAM General Vice President Robert Roach, Jr. to testify.
All IAM Transportation members who live in the Washington, D.C. area or can
easily travel to D.C. are invited to attend and show support for the
Machinists position against senseless airline mergers.
WHAT: House Committee on Transportation And Infrastructure's
Subcommittee on Aviation hearing on the "Impact of Consolidation on the
Aviation Industry, with a Focus on the Proposed Merger between Delta Air Lines
and Northwest Airlines."
WHEN: Wednesday, May 14, 2008 at 2:00 PM -
Get there early to ensure a seat.
WHERE: Rayburn House Office Building
Room 2167
MORE INFORMATION:
http://transportation.house.gov/
April 22, 2008
IAM Launches Airline
‘Merger Watch’
Thanks to a year-long
campaign by a handful of airline CEO’s, a
series of massive and disruptive mergers are threatening
to reshape the troubled industry, culminating in a monopoly-like atmosphere
for the few carriers that remain.
In addition to the recently
announced merger between Delta and Northwest Airlines, which would create the
world’s largest airline, there is widespread speculation that United Airlines,
Continental Airlines, US Airways and American Airlines may also be forced to
consider mergers to remain competitive.
To keep IAM members advised
of the developments in the this latest shakedown of airline passengers and
employees, the IAM created ‘Merger Watch,’ a special web page at
www.goiam.org/mergers to provide
news and information on the merger-related developments.
In addition to IAM updates,
Merger Watch will provide links to news releases, testimony, videos and
background information about proposed mergers and how they could affect IAM
members, their families and their contracts.
Members are encouraged to
visit www.goiam.org/mergers and
speak out with your comments/opinions about airline consolidation. You can
either call 1-888-369-7441 or go to this link
http://www.goiam.org/speak-out.cfm?cID=12831 and send an email.
April 15, 2008
CHICAGO, April 15
/PRNewswire-USNewswire/ -- The following is a statement by the Union Coalition
at United Airlines regarding possible airline industry consolidation involving
United Airlines:
"United CEO Glenn Tilton's dream of finding a dance partner for our airline
appears, by most accounts, closer to becoming a reality.
"Mr. Tilton and his executives need a reminder concerning any merger or
consolidation scenario that involves our airline. Unlike bankruptcy, when
Tilton and his minions exploited U.S. Bankruptcy laws to squeeze every penny
it could from its employees, a merger would require United executives
to address employee concerns if it is to succeed.
"Mr. Tilton can no longer hide behind the robes of a bankruptcy judge to get
what he wants from labor. Those days ended once United exited bankruptcy.
Management now faces a group empowered by unity and a common determination of
regaining what was taken from us under the guise of duress. CEO Glenn Tilton
and his executives have helped themselves to millions of dollars of stock
options, bonuses, pay raises and dividends without any regard to their
employees or passengers. Management's self-serving approach to running this
airline must end.
"We are firmly entrenched at
the consolidation table. The road to any consolidation involving United
Airlines must pass through labor. And traveling that road requires a hefty
toll.
"United Airlines exists today
only due to the sacrifices and sweat
equity the employees have invested, not from any heroic efforts of Glenn
Tilton and his executives. "Today, their honeymoon is over. It is now our turn
to have a say in the future and direction of our airline. If the current
management at United expects our cooperation in any consolidation or merger
action, they must address our needs. The Union Coalition at United Airlines,
representing unionized employees, has had enough of Mr. Tilton and his
executives lining their pockets at the expense of their employees and of
management's lack of permanent interest in the company they pretend to serve.
"Together, we will reclaim our careers and our collective future. The road
toward a successful merger or consolidation involving United Airlines goes
through its unions. Unless our concerns are met; unless we are extended the
respect we've earned and are provided the future we so richly deserve, Mr.
Tilton's merger dreams will remain just that."
The Union Coalition at United represents more than 48,900 United employees.
Signed,
Captain Steve Wallach
Air Line Pilots Association (ALPA)
Randy Canale
International Association of Machinists & Aerospace Workers (IAM)
Don Treichler
International Brotherhood of Teamsters (IBT)
Greg Davidowitch
Association of Flight Attendants (AFA)
Craig Symons
Professional Airline Flight Control Association (PAFCA)
Lou Lucivero
International Federation of Professional & Technical Engineers (IFPTE)
April 11, 2008
Machinists Urge
Airlines to Focus on Business
International Association
of Machinists and Aerospace Workers (IAM) General Vice President Robert Roach,
Jr. today issued the following statement on current airline industry
maintenance and customer service concerns:
"The recent grounding of
aircraft and stranding tens of thousands of passengers due to maintenance
compliance issues are just symptoms of a much larger industry problem.
Airlines are increasingly
outsourcing critical aspects of their maintenance programs, replacing customer
service representatives with computers and failing to provide passengers with
the service they pay for.
The airline industry is
providing the worst customer service in its history after slashing jobs and
cutting employee wages. Consumer complaints were up 60 percent last year, and
more than a quarter of all flights experienced delays. This is all occurring
while executives at major airlines are considering mergers to create even
larger, more unmanageable carriers, producing bigger headaches for passengers.
The Machinists Union is
urging executives at all airlines to refocus their efforts to provide superior
safety and customer service to passengers. This industry is in chaos and
senseless mergers will only make things worse."
March 17, 2008
Passenger Rights Group
Asks For IAM Member Action
The Coalition for an Airline Passengers’ Bill of Rights (CAPBOR) was formed by
passengers who were stranded on several American Airlines planes for up to 9
hours at Austin International Airport on December 29, 2006. When airlines push
aircraft from the gate and park them for hours without sufficient food, water,
functioning restrooms or timely information, front-line employees have to deal
with the fallout of poor management decisions.
The IAM and the CAPBOR are
both alarmed about how potential airline mergers will affect airline employees
and passengers, the two groups essential to an airline’s success. "We believe
the IAM is an outstanding organization that fights for workers rights and
cares about the well-being of passengers," said CAPBOR President Kate Hanni.
"We ask IAM members to join us in our fight to ensure airline executives treat
passengers with dignity and respect at all times. Visit our website,
www.flyersrights.org, and sign the
petition on our Get into Action page to support a Bill of Rights for airline
passengers."
February 29, 2008
Airline Merger Watched by Unions
Employees at seven Northwest unions have
concerns about wages, benefits in the talks with Delta.
Read More (The Detroit News)
February 15, 2008
Airline Consolidation?
Hell No
The chairman of the House
Committee on Transportation & Infrastructure says a merged
Delta-Northwest or United-Continental would hurt consumers. Read More
February 14, 2008
Labor Movement United
to Protect Airline Employees in Possible Mergers
WASHINGTON, D.C. - Richard L. Trumka,
Secretary-Treasurer, AFL-CIO and Edward Wytkind,
President, Transportation Trades Department, AFL-CIO issued the following
statement following today's meeting of the national AFL-CIO aviation union
leaders to review and develop a strategy in response to the latest wave of
possible airline mergers:
"The American labor movement is deeply concerned about possible mergers
between the major air carriers. Through decades of experience, we know that
corporations will pursue their own interests and ignore the impact of their
decisions on employees unless the workers are at the table with a strong
voice through strong unions.
"We are united in our commitment to protect airline employees from the
severe harm that may stem from poorly conceived airline consolidations that
ignore the needs of employees and the flying public.
"We will move forward after today's meeting unified around the following
principles:
"We will review the implications of all possible airline mergers on
jobs, on collective bargaining rights, on service to the flying public, and
on the communities that rely on this industry for transportation needs.
"We will use any and all options - including deployment of legislative,
political and capital strategies - to leverage the strength of working people
to ensure this latest merger mania doesn't harm this industry, its employees,
passengers and communities.
"We will engage elected officials at the highest level to ensure the
voices of workers are not drowned out by voices of greed and Wall Street who
may seize this moment as a chance to create wealth for a few at the expense
of many."
###
The Transportation Trades Department, AFL-CIO, represents 32 member unions in
the aviation, rail, transit, trucking, highway, longshore, maritime and related industries. For more
information, visit www.ttd.org.
February 14, 2008
Hillary Clinton Weighs
in on Possible Airline Mergers
February 14, 2008 - Sen. Hillary Clinton (D-NY) today issued a press release
addressing her concerns and those of airline workers across America
regarding the possibility of airline mergers.
“According to press accounts, merger talks are occurring in the airline
industry, as companies face the prospect of a slowing economy and high fuel
prices,” said Clinton.
“If carriers decide to combine in order to cut costs and increase their
market clout, we will have to take a hard look at the potential effects on
workers and consumers. It is important that we preserve choice and
competitive pricing in the airline industry. It is also vitally important
that any proposed merger preserve the jobs and worker protections on which
thousands of families rely.”
Home
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The Machinists Union wants to know what YOU think about airline mergers.
Click on the link below and complete the member survey. Let the union know
how you feel about potential mergers.
Say No! to Airline
Mergers
The Machinists union strongly opposes mergers among the major airlines
for the following reasons: airline hubs will be eliminated, service
frequency will be reduced, competition will be diminished, jobs will be
lost, customer service will deteriorate and pension obligations will be
jeopardized and fuel prices will remain unaffected by a merger. The IAM
is part of a coalition of consumer advocates, political leaders and
passenger rights groups who oppose the mega-mergers, but we need your
help.
All IAM members are asked to contact their elected representatives and
urge their opposition for airline mergers that will only benefit airline
executives and bankers. Click on the link below to take action.
Say No! to Airline
Mergers |
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Merger Watch Updates
May 7, 2008
April 24, 2008
April 23, 2008
April 15, 2008
April 7,
2008
April 1, 2008
March 10, 2007
March 6, 2008
February 28, 2008
February 26, 2008
February 25, 2008
Past News & Updates
April 14, 2008
Machinists Oppose Delta/Northwest Merger
March 20, 2008
Letter to the U.S. Attorney General and
Secretary of Transportation
February 25, 2008
IAM, Passenger Rights Group Partner to Block Airline Mergers
February 13, 2008 Machinists on Edge About
Airline Deals
February 6, 2008 Airline Industry Abuzz about
the Prospect of Airlines Merging
February 2, 2008 IAM Organizing Committee
Targets Continental, Delta, AirTran
February 4, 2008 UAL Merger Info Update
January 17, 2008 Merger Madness
January 1, 2008 Letter to Glenn Tilton re
Merger Discussions
January 24, 2007 Senate Merger Hearing
January 24, 2007 Machinists Airline Merger Senate
Testimony
IAM Journal Spring 2007 Shake Up in the Wings
December 13, 2006 UAL/Continental Merger Rumor
August 21, 2006 Machinists Unveil Merger
Team
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